heath government and issues

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  • Created by: evieeee
  • Created on: 29-02-20 11:44
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  • 1970, Heath election
    • key information
      • labour were expected to win
        • but labour actually lost nearly a million votes since 1966
      • But Tory Edward Heath gained 43 more seats
      • by 1970 it was clear that Labour's record had been patchy
        • long term problems of competitiveness
      • industries were old fashioned and could not compete in terms of productivity or cost with over-sea rivals
    • divisions in labour
      • economic problems
        • unemployment was high
        • inflation not controlled, retail prices had risen by 33%
        • unemployment in mining and manufacturing which labour were expected to protect
        • Wilson had been accused of lying when he said devolution wouldn't affect the £ in your pocket
          • it did lead to higher prices of imported goods
      • splits re-emerged
        • left of party accused leaders of maintaining needs of financial sector at expense of ordinary people
        • many left disliked diplomatic support Wilson gave to USA in war against communist in north Vietnam
      • need for cuts in spending felt like a betrayal to many supporters
      • trade unions disliked proposals to restrict union power
      • membership had fallen
        • labour lacked idealism and commitment to working class
      • lead by Harold Wilson
    • appeal of conservatives
      • Edward Heath personality
        • grammar school educated
        • modern and didnt tolerate old-fashioned, racist ideas
          • sacked Enoch Powell for an anti-immigration speech from shadow cabinet 1968
        • clear policies which appealed to middle-class voters
        • passionate for joining the EEC
          • many saw essential for Britain future
      • policies
        • gap between ideologists of the parties had grown since Butskellism
        • heath proposed less govt intervention
          • fewer attempts to control wages and prices
        • many tax payers disagree with maintaining industries
        • appeased powerful unions not confrontation
    • key factor
      • Heath - not a charismatic figure and was cold and stilted
        • Wilson was better on TV
      • but Tories were united behind his determination of modernising the trade unions
      • Europe was not a controversial issue at this point
      • liberal vote fell slightly
      • trade union issue gave them a cause
    • Heath's government and problems
      • industrial relations and trade unions
        • 10.9 million days lost to strike in 1970 to 23 million in 1972
      • inflation
        • war in the middle east in 1973 raised prices
      • subsidising failing governments
      • EEC entrance
        • had to accept some unfavourable terms
      • exports more expensive
        • 1971, America changed policy towards exchange rates
          • let the $ fall in value, this meant BR exports were more expensive
    • industrial relations importance
      • very influential
        • leaders were determined to resist what they saw as class-based restrictions
        • militant trade unions wanted to bring down Heath's government
      • defficult to stop inflation and to prevent wage led inflation
        • Britain couldn't benefit from EEC is costs were not competitive
      • governments policy
        • 1971 introduced the Industrial relations act
          • gave government right to insist on 60 day cooling period before a strike was called
          • insist that all unionists were balloted about a potential strike
        • new industrial relations commissions was created
          • negotiate and avoid strikes
    • problems in the coal industry
      • January 1972, 280 000 coal miners went on strike
        • threatened heating and power supply
        • led to power cuts and govt surrender
        • wanted a huge pay rise of 47%
          • were eventually rewarded with a pay rise higher than the inflation
      • importance
        • weakened govt strategy to reduce inflation
        • showed the power of miners and effectiveness of methods
        • showed how alarmed governments were over picketing action and the use of 'flying pickets'
        • rule of law being challenged
        • others followed the miners in making wage claims
    • clash of 1973
      • november - oil prices led to higher price rises
      • miners began an overtime ban
      • there were several options
        • 1. accept wage rises and risk greater inflation
        • 2. leave negotiations to National Coal Board, risk another strike
        • 3. introduce emergency powers
        • heath went with option 3
          • industry and business could only have access to electricity for 3 day week
          • 50mph speed limit to reduce peterol
          • TV stop broadcasting at 10;30 to save electricity
      • heath got a mandate for these measures and to force through industrial relations reform by holding an election
        • he lost, labour got 4 more seats

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